NU Online News Service Aug. 26, 1:00 p.m. EDT
The WTC Captive Insurance Company announced it would extend the Sept. 8, deadline to opt in to its settlement for two months, until Nov. 8, to give plaintiffs more time to consider whether to accept.
More than 5,000 plaintiffs have already opted in to the settlement, worth up to $712.5 million. That represents around 50 percent of more than 10,000 individuals who filed claims against the City and its contractors alleging injury from their work at the WTC rescue, recovery and debris removal operations.
Less than one-half of one percent of all plaintiffs decided not to accept the agreement.
The WTC Captive also announced it will move $625 million into a separate "settlement" account on Aug. 30, in anticipation of meeting the 95 percent opt-in threshold required to make the settlement effective.
Christine LaSala, president and CEO of the WTC Captive, said, "We have made every effort to ensure transparency in this process and wanted to allow more time, given some delays caused by the need for a court-appointed law professor to review correspondence from plaintiffs' counsel to their clients, and the difficulty in scheduling enough meetings for plaintiffs and their attorneys to discuss the settlement terms, which we believe are very favorable."
Ms. LaSala noted that another factor in the decision to extend the deadline was the proceedings scheduled by Judge Alvin K. Hellerstein of the U.S. Federal District Court for the Southern District of New York that could result in adjustments to settlement funds available to plaintiffs.
She also said, "Our decision to extend was also based on our desire to be certain that plaintiffs were aware that the James Zadroga 9/11 Health and Compensation Act of 2010 was amended in July by the House of Representatives to enable those plaintiffs accepting the settlement to also be eligible for a reopened Victim Compensation Fund (VCF), should Congress approve the legislation."
She added that the amendment "eliminates the need to choose between this settlement, which provides guaranteed payments now, and a reopened VCF. This is a significant factor for those deciding whether to accept the settlement."
On June 23, Judge Hellerstein signed an order approving a settlement for workers' claims against the WTC Captive–a not-for-profit insurer enabled by Congress to defend and indemnify New York City and the contractors it hired for 9/11 rescue work.
Under the settlement, those claiming debilitating respiratory illnesses, such as severe asthma contracted by a non-smoker within seven months of exposure at the World Trade Center site and surrounding areas, could receive between $800,000 and $1.05 million.
About $1.5 million could go to compensate claims of death determined to be caused by the post- 9/11 operations.
Plaintiffs who have no qualifying injury, but have a legal claim for fear of becoming sick, could receive $3,250.
Qualifying plaintiffs will be enrolled in a special insurance policy through MetLife to provide coverage for certain blood and respiratory cancers diagnosed during the coverage period, paying a benefit of up to $100,000.
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